Economy of Russia
The economy of Russia is potentially one of the strongest in the world. It is however by many international organisations considered a developing one. Russia has undergone significant changes since the collapse of the Soviet Union, moving from a centrally planned economy to a more market-based and globally integrated economy, officially referred to by the Russian leadership as state capitalism. As of 2014, Russia's capital, Moscow, now has the second highest billionaire population of any city in the world (after London, UK). The Russian Government predicts stable growth rates for future years of around 10% of GDP. 2014 however has seen a tremendously high growth of all economic sectors. In addition the percentage of the population living below the poverty line has plummeted, largely due to increases in salaries of federal and local government employees, as well as a 100% increase in pensions in June 2014. Unemployment has been reduced by almost 50%, which means that by November, almost a million new jobs had been created in Russia during 2014. Structure Industry Banking and Finance Central Bank of the Russian Federation Officially the Central Bank of the Russian Federation (ru: Центральный банк Российской Федерации), it was created in 1992 following the elimination of the State Bank of the Russian SFSR. The Bank of Russia is the main regulator of the banking industry. It is responsible for issuing banking licences and setting rules of banking operations and accounting standards. The bank serves as a lender of last resort for credit organisations. It is also responsible for the country's monetary policy, including the level of the shortest interbank interest rate. By influencing the ruble interest rate, it also influences the price of the ruble in terms of foreign currencies. MIBOR (Moscow Inter-Bank Offer Rate) Moscow Inter-Bank Offer rate is an indicative rate of Rouble money market calculated by Central Bank of Russia on a daily basis. MIBID and MIACR (Moscow Interbank Bid / Actual Credit Rate, respectively) are also calculated alongside MIBOR. Labour Currency The ruble (ru: рубль) is the national currency of Russia. With more than 7,9 trillion руб in circulation, the rouble is the currency with the highest combined value of banknotes and coins in circulation in the world. English spelling Both the spellings "ruble" and "rouble" are used in English. Although the form "rouble" is preferred by the Oxford English Dictionary, "ruble" is more often used internationally, but the earliest use recorded in English is the now completely obsolete "robble". The form "rouble" probably derives from the transliteration into French used among the Tsarist aristocracy. There is some tendency for North American authors to use "ruble" and other English speakers to use "rouble", and also some tendency for older sources to use "rouble" and more recent ones to use "ruble", but neither tendency is absolute. In 2010 the Central Bank of Russia issued a recommendation to use "ruble". Plural The Russian plurals that may be seen on the actual currency are modified according to Russian grammar. * Numbers 1, 21, 31 etc. are followed by nominative singular рубль, копейка. * Numbers 2-4, 22-24, 32-34 etc. will be followed by genitive singular рубля, копейки. * Numbers 5-20, 25-30, 35-40 etc. will be followed by genitive plural рублей, копеек. Inflation The inflation rate of the rouble has since 2001 stayed below 10%. When the financial crisis in 1998 was at it worst the inflation was as high as 12 090%. Since the turn of the millennium there has been a considerable stabilization of the rouble, largely due to the currency reforms of the government in the end of the 90s. The rouble was revaluated in 1999 and in 2001. Special legal regulations of currencies in the Russian Federation * Upon entering the Russian Federation foreign citizens (except citizens of Kazakhstan, Uzbekistan, the Republic of Belarus and the People's Republic of China) must declare at the border control of the Russian Federation if they are bringing with them over 10,000€, 15,000$, 10,000£ or 100,000 Russian rubles. When declaring a receipt is given which must then be shown, together with all receipt of purchases done in the Russian Federation, to the authorities when exiting the Russian Federation. Foreign Economic Relations 2014 saw the creation of the Six-party trade union agreement between Russia and 5 other nations. It is a document outlining the responsibilities and obligations of all 6 nations vis-à-vis each other concerning their trade relations. The initiative to create the document was taken by Russia in October 2014. Russia was also the first nation to ratify the agreement on the 19th of October 2014. Transport Media and Communications Notable Russian companies Category:Currencies Category:Russia